1282

LAWS OF MARYLAND

Ch. 245

Article 11 - Banks and Trust Companies

Section 91

Annotated Code of Maryland

(1976 Replacement Volume and 1977 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That section(s) of the Annotated Code of Maryland
be repealed, amended, or enacted to read as follows:

Article 11 — Banks and Trust Companies

91.

The total liabilities of any person, copartnership or
corporation, to any bank or trust company for money borrowed
shall in no time exceed 10 per cent. of the amount of the
surplus and paid—in capital of such bank or trust company;
provided, that by a two—thirds vote of the directors said
liabilities may be increased to a total sum not exceeding
thirty per cent. (30%) of said surplus and paid—in capital
where the amount of such loan in excess of ten per cent.
(10%) of said surplus and paid—in capital is secured by
interest—bearing obligations of the United States, this
State, any county or municipal corporation of the State or
the bonds of the Home Owners Loan Corporation, a corporation
created under an act of Congress of the United States,
approved June 13, 1933. The discount of bills of exchange
drawn in good faith against actual existing values, of trade
acceptances or other commercial paper and business paper
actually owned by the person, copartnership or corporation
negotiating the same, shall not be considered as money
borrowed within the meaning of this section, but the total
of such discounts for any one person, copartnership or
corporation shall at no time exceed twenty-five per cent.
(25%) of said surplus and paid—in capital. Obligations
drawn in good faith against actual existing values and
secured by goods or commodities in process of shipment or
which are secured at the time of acceptance by warehouse
receipts conveying or securing title to such goods or
commodities shall not be considered as money borrowed within
the meaning of this section, but the total of such
obligations for any one person, copartnership or corporation
shall not exceed twenty—five per cent. (25%) of said
surplus and paid—in capital. No combination of all
liabilities of any kind of any single person, copartnership
or corporation, including all obligations of the classes
hereinbefore referred to, shall exceed thirty per cent.
(30%) of said capital and surplus.

The total liabilities of any partnership or
unincorporated association shall include all liabilities of
its individual members. In computing the total liabilities
of any individual to a bank or trust company, there shall be
included all liabilities of any partnership or
unincorporated association of which he is a member, and any
loans made for his benefit or for the benefit of such